Tokyo, Nov. 2 (Jiji Press)–Japanese satellite broadcaster Wowow Inc. has entered the paid video-streaming business by taking over NTT Docomo Inc.’s Lemino service through a joint venture with the major mobile carrier. With pay-TV subscriptions declining, Wowow hopes to exploit the expanding streaming market for a new driver of growth. Wowow President Hitoshi Yamamoto has called the move the company’s “second founding” and pledged to achieve success. Gaining a foothold in the crowded streaming market, however, is likely to be an uphill battle. Steady Loss of Subscribers Launched in 1991, Wowow offers ad-free movies from Japan and abroad. It is also known for original dramas and live coverage of sports and music concerts. In 2014, subscriptions jumped after Wowow aired exclusive coverage in Japan of the U.S. Open tennis tournament, in which Japan’s Kei Nishikori reached the men’s singles final. In recent years, however, viewers have been moving away from television as a wide range of online streaming services have appeared. Cancellations have outnumbered new subscriptions for seven straight years since fiscal 2019. Subscriptions fell from a peak of more than 2.9 million in fiscal 2018 to 2.16 million in fiscal 2025. Wowow earlier launched Wowow On Demand, which lets users watch its content on smartphones and computers without a TV. But the service did not halt the decline, partly because it was available only to pay-TV subscribers. “We needed to launch a new service separate from broadcasting,” Yamamoto said. In June, Wowow and Docomo announced plans for the joint venture, Wowow Lemino Inc. The new company began operations on Oct. 1. Wowow owns 51 pct of the venture, with the rest held by Docomo. Lemino offers popular movies, exclusive programs and original dramas. The venture will keep the discounted plans for Docomo mobile subscribers as it aims to win customers through Docomo’s sales network and subscriber base. Intensifying Competition Competition is intensifying in Japan’s video-streaming market, in which many major services are vying for viewers. According to Tokyo-based research company GEM Partners Inc., Lemino held just 2.8 pct of Japan’s subscription video-on-demand market in 2025, when it was still run by Docomo. The market, estimated at 601.7 billion yen, is led by U.S. giant Netflix Inc. with a 27.1 pct share, followed by U-Next at 17.1 pct and Amazon.com Inc.’s Prime Video at 12.1 pct. Many services have shares of less than 5 pct, including Telasa, operated by TV Asahi Corp. and others, at 3.1 pct, and Fuji Television Network Inc.’s FOD at 2.6 pct. Yamamoto acknowledged that the market is already overheated. “We want to work with Docomo to develop (Lemino) into an attractive service and secure a solid position,” he said. As an example of how the venture can stand out, Yamamoto pointed to events that a Docomo affiliate runs at Japan National Stadium, also known as MUFG Stadium. “We can provide entertainment in both the digital and real worlds,” he said. Despite the fierce competition, Yamamoto remains upbeat. “I hope people will watch closely to see what Wowow becomes,” he said. END [Copyright The Jiji Press, Ltd.]
